Options for the airline
Since the airlines aren't shy about ignoring regulations this is one they could probably ignore for a few years before the big-time fines start coming in. If ignoring the rights of involuntarily bumped passengers only cost Delta Air 175K then it might be cost effective, at least in the short run, to ignore the regulation about emotional support animals.
As to the long term: How can the government say animals outside a carrier are LESS problematic than someone on a stretcher? In other words, if you can ban someone on a stretcher, then why can you not ban someone wanting to bring on an animal with no carrier?
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